Trio Petroleum (TPET) Registration Filing summary

Company overview and business model

• Operates as an oil and gas exploration and development company with assets in California and Utah, focusing on the South Salinas Project, McCool Ranch Oil Field, and Asphalt Ridge Project.

• Recently began generating revenue from restarted operations at McCool Ranch Oil Field and expects first oil sales from South Salinas in Q3 2024.

• Holds significant working interests in its core projects and is pursuing additional acquisitions and a carbon capture and storage initiative.

• Management team underwent changes in June and July 2024, with Robin Ross appointed as CEO and Chairman.

Financial performance and metrics

• Reported no revenues for fiscal years ended October 31, 2022 and 2023, with net losses of $3.8M and $6.5M, respectively.

• Began generating revenue in the quarter ended April 30, 2024, but reported a net loss of $4.0M for that quarter.

• Accumulated deficit was $16.2M as of April 30, 2024, raising substantial doubt about the ability to continue as a going concern.

Use of proceeds and capital allocation

• Will not receive proceeds from the resale of shares by selling shareholders, except for proceeds from warrant exercises at $0.39525 per share.

• Plans to use $1.775M of net proceeds, if raised, to exercise an option for an additional 17.75% working interest in the Asphalt Ridge Leases by October 10, 2024.

• Intends to retain earnings to finance growth and operations, with no plans to pay dividends in the foreseeable future.